Cadence and NVIDIA Expand Collaboration, Ushering in a New Era in Engineering in the Age of AI

[Ahmet Ö.]

Cadence and NVIDIA expanded their collaboration to enhance engineering productivity with AI-powered accelerated solutions.

Announced at CadenceLIVE Silicon Valley 2026, the collaboration aims to accelerate innovative engineering design processes in semiconductor design, physical AI systems, and large-scale AI factories by combining agentic AI, physics-based simulations, and digital twin technologies.

### Key Areas of Collaboration

• Cadence's leadership in agentic AI and electronic design automation (EDA) is combined with NVIDIA's CUDA-X, AI physics, and Omniverse digital twin libraries.
• This integration accelerates the convergence of design and physical implementation, providing tremendous accuracy and speed in simulation and system development.

### Cadence and NVIDIA Joint Solutions

• Cadence EDA and SDA tools are accelerated with NVIDIA CUDA-X and Omniverse libraries.
• Engineering workflows can achieve up to a 100x speed increase with the Millennium M2000 supercomputer.
• A new AI agent called AgentStack guides design processes from chip design to system level.

### Embedded Agentic AI for Physical AI

• The integration of high-fidelity multiphysics simulations and NVIDIA Isaac robot simulation libraries reduces the gap between simulation and the real world for robots and autonomous machines.
• Extensive scenario testing, physical accuracy, and real-time feedback ensure the safe and effective development of AI systems.

### Digital Twins for AI Factories

• Digital twin solutions for large-scale AI factories are being developed using the NVIDIA Omniverse DSX Blueprint.
• These twins are used to increase energy efficiency (watts per token), optimize system configurations, and test cooling strategies.
• For example, with MaxQ power tuning, up to a 17% increase in token efficiency and billions of dollars in additional revenue can be achieved.

The collaboration between Cadence and NVIDIA reshapes the engineering design process with AI and accelerated computing, offering significant advantages to the industry. This partnership makes the transition from design to the real world faster, more reliable, and more efficient.